BRISTOL (dpa-AFX) - Imperial Brands plc. (IMB.L, IMBBF.PK, IMBBY.PK) said that it now expects adjusted earnings per share for full year to be slightly lower than last year, citing the US FDA's ban on certain flavours of cartridge-based vapour devices and weaker than expected consumer demand for vapour. It expects annual constant currency group net revenue to be at a similar level to last year.
In its AGM trading update, the company said tobacco trading remains in line with expectations, with a weighting to the second half as previously guided.
The company expects first half adjusted earnings per share to be down about 10% at constant currency, due to the phasing of inventory write-downs, primarily relating to the US flavour ban.
At current exchange rates, the company projects expect a currency translation headwind on net revenue and adjusted earnings per share of about 1% at the half year and about 3% at the full year.
The company noted that negotiations on the potential divestment of its Premium Cigar Division remain ongoing. It continues to consider the potential divestment of other non-core operations.
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